§1What this business is

Mild steel wire (2–4 mm) is cleaned in acid, then an automatic machine straightens it, cuts it, forms and bends the head and rolls the thread. Nipples are fitted, the spokes are electroplated against rust and packed in packets of 100. Buyers are wheel makers, spare-parts dealers and repair shops.

Capacity: 43,000 spokes a day; 1,29,00,000 a year (1,29,000 packets of 100). The plan runs at 55% in year 1 and 75% in year 5.

§2Is it right for you?

Who it is for

Someone near a bicycle or two-wheeler parts cluster with buyers among wheel makers.

Who it is not for

Someone who cannot handle acid pickling and plating safely.

Advantages

  • One automatic machine produces very large volumes
  • Steady replacement demand from bicycles and two-wheelers
  • Simple product with few grades
  • Plating plant can also take outside job work

Drawbacks

  • Raw material is about 80% of sales — thin margin
  • Steel wire price swings hit profit directly
  • Electroplating and pickling need effluent treatment
  • Alloy wheels are replacing spoke wheels on many motorcycles

Skills you need

  • Setting the spoke-forming machine
  • Electroplating and pickling control
  • Bulk buying of steel wire
  • Selling to wheel makers and dealers

Why difficulty 3/5: Machines are simple but plating rules and thin margins need careful control.

§3Market

Who buys

  • Bicycle and two-wheeler wheel makers
  • Spare-parts dealers
  • Cycle and motorcycle repair shops

How it sells

  • Direct supply to wheel assemblers
  • Wholesale spare-parts dealers

Good to know

  • The report quotes new vehicle sales growth of 14.2% in 2017-18 over 2016-17.
  • It quotes the global automotive wheels aftermarket growing at a CAGR of 3.53% to USD 4.5 billion by 2025 from USD 3.5 billion in 2018.

§4Raw material & machinery

ItemQtyCost
Automatic spoke forming machine1 set₹7,00,000
Electroplating plant1 set₹3,90,000
Other equipment and hand toolslump sum₹1,10,000

From: PMEGP sample project report — Automobile Spokes (prepared by Udyami/Samadhan)

  • Mild steel wire rolls (2–4 mm)65,000 kg a year at full capacity, ₹155 per kg
  • Nipples1,29,60,000 pieces a year, ₹0.50 each
  • Electroplating chemical910 kg a year, ₹100 per kg
  • Pickling chemical1,500 litres a year, ₹100 per litre
  • Packing material₹1,00,000 a year (lump sum)

From: PMEGP sample project report — Automobile Spokes (prepared by Udyami/Samadhan)

§5Licences & registration

  1. GST registration (named in the report)
  2. Udyam registration (the report names Udyog Aadhaar, now replaced by Udyam)
  3. Trademark (optional, named in the report)
  4. State pollution board consent — electroplating usually falls in a stricter category; check with your state board
  5. Trade or factory licence as applicable

We can do this registration for you

§6Schemes & subsidies

PMEGP (the report was prepared for it), CGTMSE for a collateral-free loan, MUDRA up to ₹20 L.

§7Money

How the investment is worked out: Building / shed (1,000 sq ft) ₹4.00 L + plant and machinery ₹12.00 L + furniture ₹2.00 L + working capital ₹6.67 L = ₹24.67 L.

Working capital: Working capital ₹6.67 L in the project cost (bank working capital ₹6.00 L): 10 days of raw material and 10 days of finished goods.

Year not printed on the report — check current machinery and raw-material prices.

How to prepare a loan file

§8Export potential

Export council / board: EEPC India

  • The project report prints no HS code; look up the 8-digit ITC(HS) line on the DGFT website or with a customs broker before exporting.
  • You need an Import Export Code (IEC) from DGFT before the first shipment.

§9Risks — where people fail

  • Steel wire price rise
  • Effluent rules for plating
  • Shift to alloy wheels
  • Low margin per piece

§1030 / 60 / 90-day plan

A general plan that applies to any business. A plan for this business will be added after research.

  1. Days 1–30: Visit a working wheel spokes manufacturing unit, ask 10 buyers about price and quantity, and get quotations from 3 suppliers.
  2. Days 31–60: Udyam and the licences you need (GST registration (named in the report), Udyam registration (the report names Udyog Aadhaar, now replaced by Udyam)), a project report (DPR), and the scheme or loan file.
  3. Days 61–90: Space and machines, trial production, and first deliveries to 10 customers.

§11Who to connect with

Not verified yet

Associations, clusters and training institutes — the directory is being built. Connect

§12Watch

There is no episode on this business yet. Shows are coming soon on the Podcast page.

Want to start Wheel Spokes Manufacturing?

DPR, loan file or registration — ask us on WhatsApp.

Get a DPR / loan file made

Sources

  1. PMEGP sample project report — Automobile Spokes (prepared by Udyami/Samadhan)

Data review: 6 October 2026. Spotted a mistake? Report it. For information only — not legal or financial advice.